P4 Explain How Two Examples of Legislations - join
To be tax-exempt as a social welfare organization described in Internal Revenue Code IRC section c 4 , an organization must not be organized for profit and must be operated exclusively to promote social welfare. If the organization engages in an excess benefit transaction with a person having substantial influence over the organization, an excise tax may be imposed on the person and any managers agreeing to the transaction. New legislation enacted at the end of added Section to the Internal Revenue Code. Section requires an organization to notify the IRS of its intent to operate as a Section c 4 organization. The IRS has developed a new form — Form — that organizations should use to provide this notification. For information about applying for exemption, see Application for Recognition of Exemption. This requirement only applies to organizations intending to operate under Section c 4. Organizations operating under any other c section should not file this notice. To be operated exclusively to promote social welfare, an organization must operate primarily to further the common good and general welfare of the people of the community such as by bringing about civic betterment and social improvements. P4 Explain How Two Examples of Legislations.
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